Leading the charge is Banana Link, which is targeting the supermarkets and calling on them not just to pay lip-service to ethical trading commitments but to live up to promises and ensure banana workers in source countries enjoy decent conditions and a living wage.
"We are looking to Sainsbury's to take the lead in matching its verbal commitment to ethical trading with its practice along the banana-supply chain," said Banana Link's Alistair Smith last week. "In following the price war led by Asda and Tesco, Sainsbury's has joined the ranks of those who are now driving a race to the bottom in the banana industry. The unsustainably low prices they are paying their suppliers get passed on to producers who are squeezing their workers even harder than before."
The store responded: "Whilst we have remained competitive on pricing of bananas, we can confirm that price reductions have not been passed to growers. For example, we pay 10 per cent more to our growers than the government guidelines of Costa Rica advise and have not reduced prices to our growers for over two years, meaning that price reductions are funded principally from our margins."
Recent reports from the Fairtrade Foundation and Friends of the Earth have also focused on retail profit margins on Fairtrade fruit. And while prices across the banana category remain low, the trade should be prepared for more ngo activity.
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